ED raids 4 cities in Delhi Jal Board scam
What's the story
The Enforcement Directorate (ED) launched search operations in Delhi, Ahmedabad, Mumbai, and Hyderabad in connection with a money laundering case linked to the Delhi Jal Board (DJB) scam on Wednesday.
During the searches, the ED teams uncovered cash amounting to ₹41 lakh, incriminating documents, and digital evidence.
The alleged scam involves ₹1,943 crore related to the augmentation and upgradation of 10 Sewage Treatment Plants (STP) in India's capital city.
Accusations
Private company accused in DJB scam
The ED has accused Euroteck Environmental Pvt. Ltd., a private company, and others of colluding to secure tenders at inflated rates, causing significant losses to the exchequer.
According to case details, four tenders valued at ₹1,943 crore were awarded to three joint venture entities in October 2022.
All three joint ventures submitted the same experience certificate from a Taiwan project to secure the tenders.
Furthermore, all three joint ventures subcontracted the work to Hyderabad-based Euroteck company.
Findings
Investigation reveals inflated rates and subcontracting
The ED's investigation revealed that the tenders were awarded at inflated rates, with costs adopted by the DJB being identical despite the cost of upgradation being lesser than augmentation.
"The verification of the tender documents shows that the initial cost of four tenders was about ₹1,546 crore which was revised to ₹1,943 crore without following due process/project reports," it said.
The anti-money laundering agency suspects cartelization in the award of tenders and bribery to public servants, including ministers and bureaucrats.
Allegations
Alleged bribery and role of AAP in DJB scam
The ED also alleged that the bribe money from the DJB scam was funneled into the Aam Aadmi Party as election funds.
Chief Minister Arvind Kejriwal was summoned for questioning in this case but did not appear before the agency.
The central agency is currently investigating the role of DJB officials, joint ventures, and Euroteck in this alleged scam.